Sample Report Extract
PHYSIOGRAPHY
The ML is covered by a distinct high EW ridge called Rukawejiu, which rises to 1491m and slopes to the North and South to 1200m above sea level. It is drained to the N by the Tulanda River and to the S by Mawasene River. The near by valleys to the N and S are densely forested and the ML is located in one of the gazetted forest reserves, Wasulumbu.
The ML area is sparsely populated and there is minimal subsistence agriculture by the few homesteads. Common crops include sweet potatoes, Irish potatoes, cassava, maize, ground nuts and sorghum. The area is served by two rain seasons September-November and April-June. Annual rainfall exceeds 1500mm which temperature average 30oC during the day and 15oC at night. Humidity is high during the rainy periods.
No game animals exist in the area except for a few occasional diker, big rats, and snakes. The area lacks modern infrastructure such as water, power and schools. The nearest power grid is 35km away at Kasanda trading center.
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The reefs comprise the following mineral assemblages;
Quartz (dominant)
Hematite (<1%-40%)
Gold (up to 1% or 10,000g/t au)
Goethite/Limonite (1%)
Freibergite (Copper, Antimony Sulfide, <1%)
Halite (<1%)
Pyropyllite (<1%)
Muscovite (<1%)
Chalcocite (0.1%)
An Antimony-Bismuth oxide mineral (<1%)
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Studies completed by Anglovaal mining mineralogical laboratory on samples of the mineralized quartz vein suggests those 3 different generations of minerals could be distinguished;
Anhedral quartz with submicroscopic inclusions of gold, Freibergite and Chalcocite
Peudomorphs after feldspar consisting of alumina rich clay minerals like koalinite with included euhedral hematite, gold grains and crusts containing oxides of bismuth and antimony. Pore and vugh filling consisting mainly of euhedral quartz, hematite and fine grains of gold, freibergite, Chalcocite cemented by clay minerals.
The laboratory also reports that the mineral assemblages together with textural evidence suggests that the ore will not change to sulphide hosted zone at greater depth which would be a greater advantage should large scale mining take place.
According to Egil Livgard, P.Eng.Vancouver, BC, June 22 1997, greater gold mineralization occurs with sulphide at depth below the oxidation.
Sampling by both Uganda Gold and Mabex when the reef was at or near outcrop returned highly variable results from <6 to >>1000g/t. Pieces of nuggety gold weighing up to 75g were attached to quartz. This is typical of secondary enrichment in the oxidized zone, it is exceptionally well developed.
An old excavation along the J reef was cleaned out and a significant quantity of hanging wall phyllite/ arkoses was milled along with some old debris. At least 28 tones yielded 52g gold, indicating a free gold tenor of almost 1.9g/t. Considering the inefficiency of the plant, the estimated gold content of this semi-waste material is probably 5-6g/t, 80% of the final product being derived from pieces >0.5mm.This immediately indicates an extreme nugget effect.
OTHER PROSPECTS
DJ Workings- lie 800m NE of the camp and consist of a blow of dense quartz stock work that terminates against a sub vertical N-S fracture in coarse sandstone. The blow is up to 5m wide and contains milky quartz veins, with fibrous tension veinlets carrying erratic hematite and minor limonite. The quartz appears to extend at least 30m to the S and panning in the 1990s gave fine gold with a few grades estimated at 3g/t or more.
The Workings- are approximately 5m750m WNW of the camp. A few long trenches show minor buck quartz veins plus one very fractured milky quartz blow at least 2m wide but <30m long. The writers were informed by one of the Uganda Gold field workers that it panned a few specks of gold weighing 0.25g. Again, this proves the very erratic gold content typical of secondary enriched environments.
Lingunda- lies 2-2.3km SE of the camp, on the Northern flanks of the settlement, gold has been panned from ENE and EW trending quartz blows, with an alleged 1kg gold derived from approximately 30 tones of ore at the Namusoto workings. Occurring over a strike of tens of meters or more, the quartz is much fractured but not obviously mineralized. A composite grab sample returned only 1.76g/t. Other short reefs close to the road were noted and a broad stringer zone was located 250m N of the village. A grab sample of mineralized quartz from a trench only 1km SE of the camp gave only 0.2g/t Au.
CONCLUSION
-Gold concretes are generally so erratic that only bulky of 5-20tonnes will give a realistic and representative indication of gold tenor. The potential quantity of oxidized ore is reckoned to be at least 20,000-24,000 tones containing 144-360kg bullion.
-There is a very good probability of upside potential down dip with continued coarse gold in sulphide zone and similar hidden reefs to the E Thus the potential estimated resource figures could be doubled, though the secondary enrichment probably diminishes with depth.
Sinkhole tests implied that 62.39%gold can be concentrated in the +75fraction and 300micron. Gold distribution in size fraction test implied that screening at 600micron will upgrade gold to 80% in about 40%mass.
Magnetic separation tests implied that problems were experienced with the heavy hematite at solid density of 5.1 t/m in the ore during gravity separation step. However, indication is that a meddling fraction exists that may need regrinding and second magnetic separation step to improve gold recovery. An analysis of the magnetic fraction for other valuable minerals must be done. Gold values in the non magnetic concentrate varied from 328g/t to 37.7kg/t.
Nugget effect test implies that the grades from sampling the ore body must be treated conservatively so as not to over estimate them.
Geological hand specimen evaluation implied that gold which is associated with quartz should be liberated at smaller than 1mm crush size; whereas gold associated with hematite and actually inetrgrown into it, require finer regrinding of the meddling to liberate it. On other hand, evaluation of gold shapes from liberated gold shows a very wide range which complicates the process, but gold particles indicate a high g/mm value, which should be amenable to gravity concentration in most machines. There is very little doubt that the new 18,000 tpm Gold Gravity Plant will be capable of effectively recovering a minimum of 60% of contained gold in the planned soil, gravel, hard rock plant feed.
RECCOMMENDATIONS
Step 1
a- Quartz veins;
The currently known gold bearing quartz veins have a grade varying from 10g/t-40g/t.The veins have been exposed to over 300m on strike. This should be followed by carrying out a diamond drilling program using a reverse circulation machine to examine the mineralization of the veins within the depth of 100m below the surface.
The established extension of gold mineralization both on strike and at depth shall be quantified as proven ore reserves.
b- Colluvial (saprolite) ore;
There is mineralized colluvial (saprolite) material extending for 500m X 200 and extends to a depth of 3m below the surface. A grid 100m X 50m should be established and pits dug, mapped and sampled. The mineralized areas shall be delineated and the ore be quantified as proven ore.
Step 2
Diamond Core Drilling;
It is proposed that if step 1 exercise is positive, detailed diamond core drilling should be undertaken to examine mineralization at depth below 100m.
Alluvial material;
It is commendable that stream sampling at the stream beds near the mine be undertaken to establish the extent of alluvial gold mineralization.
EXPLORATION PROGRAM
Exploration was carried out by very many people. This included the following stages;
Mapping
This involved close field examination of outcrops in the areas of interest. It was carried out for lineament detection and to identify other target areas for surface gold exploration by interpreting color survey maps and satellite images.
Detailed Geophysical Survey
A superficial magnetic survey conducted over the quartz vein at Ntendoo and Straddling the reef with a G5 Proton magnetometer suggest a highly magnetic anomaly occurs in sympathy with the mineralized quartz vein in a suggested EW trend. Latest surveys show that a vein can be followed for a distance of some 1500m to the E. More magnetic surveys are planned to define the western extension of the gold bearing quartz vein. (Satellite information)
Sampling Program
As previously stated, a detailed magnetic summary the ML was carried out early in 2002. The survey indicated an area of high magnetic intensity SW of the camp.
The area to the SW of the camp is of prime interest as this area coincided with the quartz vein, which is known to be mineralized, a large pit locally known as where a considerable amount of coarse gold were reportedly panned from the laterite overburden. Exploration activities since January 2002 have been primarily focused on this general area referred to as Block 1.B
The results of the exploration and sampling programs have been detailed in the monthly and quarterly reports submitted to the mining commissioner, as well as reports submitted by consulting geologists and these reports are available at the companys office.
Extracts from some of the sampling reports, monthly and quarterly reports as well as consulting geologists reports, are set out below.
Gold Nugget Effect
In September 2001 on the initial fact-finding visit by the consulting geologist, a strike length of 154m was sampled. Access to the outcrop was by 5 pit exposures. In July 2002 further sampling was completed over a shorter length of 114.5m of out crop. It was not possible to sample over the full 154m as one pit had been filled to facilitate a tempory road access to the pilot plant site. No systematic sampling of the elluvial and alluvial soils was done.
In both cases, the samples were taken back to South Africa for assay and associated metallurgical and mineralogical analysis. Fire assay analysis was undertaken on both September 2001 and July 2002 samples with duplicate analysis undertaken at independent laboratories. Bottle roll Leah test analysis was undertaken on the July samples owing to the nugget effect.